Personal Loan Interest Rates: Top 5 Banks With Lowest Personal Loan Interest Rates
Personal Loan Eligibility
You need to make sure you qualify for a personal loan before you consider applying for one. Eligibility criteria differed from bank to bank. So be sure to check the eligibility requirements. Below are some eligibility criteria for clients applying for a personal loan through
- You are a salaried physician, or CA, or an employee of a limited company or public sector enterprise (including central, state and local agencies).
- You are in the age range of 21 to 60
- You have been employed for at least 2 years, including a minimum of 1 year with the current employer.
- Those who earn a minimum of 25,000 net income per month.
Partial repayment of a personal loan
According to HSBC, “You can partially prepay up to a maximum of 20% of the original disbursed loan amount per year, on 2 transactions per year. (The year in such a case will be a period of 12 months from your loan disbursement date) Partial prepayment can only be initiated after 12 months from the loan disbursement date (after 12 months from the loan disbursement date for balance transfer cases); payment would incur a prepayment charge under the terms detailed in your personal loan agreement.
Prepayment rules vary by bank, so check prepayment facility and applicable fees.
website, “Any prepayment of EMI in whole or in part and account closure prior to the end of the term will incur a 3% prepayment charge on the prepaid amount. No prepayment/foreclosure charges will be applicable if the account is closed from the proceeds of a new loan account opened under the same program.”
A loan’s EMI, or equivalent monthly installments, is crucial. This is the amount you pay in periodic installments to repay your loan.
It is essential to calculate your EMI and come up with a strategy to keep it as low as possible. Your NDE is determined by three variables:
- The amount of the loan
- The interest rate
- The term of the loan